Examlex
In the B & B algorithm, B & B stands for
Compounded Semiannually
A different way to describe the process of applying interest to a principal balance twice a year, allowing interest to be earned on previously accrued interest.
Monthly Compounded
A method of calculating interest where the interest amount is added to the principal at the end of each month, increasing the amount on which subsequent interest is calculated.
Compounded Monthly
Calculating interest earnings using both the initial principal and previously earned interest on a monthly basis.
Effective Annual Rate
The annual interest rate that accounts for compounding over a given period, providing a true reflection of financial costs.
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